AirAsia Bhd's planned joint venture in India with Tata Sons could face some procedural problems, Aviation Minister Ajit Singh said on Wednesday, without elaborating.
However, Singh said he does not see any other major hurdles for the venture in India.
India's Foreign Investment Promotion Board is scheduled to meet later on Wednesday to consider the proposal, he said.
Malaysia's AirAsia, the largest budget carrier in Asia, plans to launch a regional airline in India in a venture with the Tata group. The new airline, AirAsia India, will be managed by the Malaysian company and based in the southern city of Chennai.